{"id":17033,"date":"2016-01-28T11:18:28","date_gmt":"2016-01-28T16:18:28","guid":{"rendered":"http:\/\/olduvai.ca\/?p=17033"},"modified":"2016-01-28T11:18:54","modified_gmt":"2016-01-28T16:18:54","slug":"red-ponzi-ticking","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=17033","title":{"rendered":"Red Ponzi Ticking"},"content":{"rendered":"
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Red Ponzi Ticking<\/a><\/h3>\n

There is something rotten in the state of\u00a0Denmark. And we are not\u00a0talking just about the hapless socialist utopia on the Jutland Peninsula\u2014\u2014even if it does strip assets from\u00a0homeless refugees, charge savers\u00a075 basis points for the deposit\u00a0privilege and allocate nearly 60% of its\u00a0GDP to the Welfare State and its untoward\u00a0ministrations.<\/p>\n<\/header>\n

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In fact, the rot is planetary. There is unaccountable, implausible, whacko-world stuff going on everywhere, but the frightful part is that most of it goes unremarked or is viewed as par for the course by the mainstream narrative.<\/p>\n

The topic at hand is the looming implosion of China\u2019s Red Ponzi; and, more specifically, the preposterous Wall Street\/Washington\u00a0presumption that it\u2019s just another really big economy that overdid the \u201cgrowth\u201d thing and is now looking to Beijing\u2019s firm hand\u00a0to effect\u00a0a\u00a0smooth\u00a0transition. That is,\u00a0an orderly migration from\u00a0a manufacturing,\u00a0export and\u00a0fixed investment boom-land to\u00a0a pleasant\u00a0new\u00a0regime of shopping, motoring, and mass consumption.<\/p>\n

Would that it could. But China is not a $10 trillion growth miracle with transition challenges; it is a\u00a0quasi-totalitarian nation\u00a0gone mad digging, building, borrowing, spending\u00a0and speculating in a magnitude\u00a0that has no historical\u00a0parallel.<\/p>\n

So doing, It has\u00a0fashioned itself into\u00a0an incendiary volcano of unpayable debt and wasteful, crazy-ass overinvestment in everything.\u00a0 It cannot be\u00a0slowed, stabilized or transitioned by\u00a0edicts and new plans from the comrades\u00a0in Beijing. It is the greatest\u00a0economic trainwreck in human history barreling toward a bridgeless chasm.<\/p>\n

And that proposition makes all the difference in the world. If China goes down hard the global economy cannot avoid a thundering financial and macroeconomic dislocation. And\u00a0not just because China accounts for 17% of the world\u2019s $80 trillion of GDP or that it has been the planet\u2019s\u00a0growth engine most of\u00a0this century.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Red Ponzi Ticking There is something rotten in the state of\u00a0Denmark. And we are not\u00a0talking just about the hapless socialist utopia on the Jutland Peninsula\u2014\u2014even if it does strip assets from\u00a0homeless refugees, charge savers\u00a075 basis points for the deposit\u00a0privilege and allocate nearly 60% of its\u00a0GDP to the Welfare State and its untoward\u00a0ministrations. In fact, the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[2045,130,5979,2120,353,11368,860,865],"class_list":["post-17033","post","type-post","status-publish","format-standard","hentry","category-economics","tag-beijing","tag-china","tag-contracorner","tag-david-stockman","tag-gdp","tag-red-ponzi","tag-wall-street","tag-washington"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17033","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17033"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17033\/revisions"}],"predecessor-version":[{"id":17035,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17033\/revisions\/17035"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17033"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17033"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17033"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}